Super Sales Company is the exclusive distributor for a revolutionary bookbag. The product sells for $36 per unit and has a CM ratio of 31%. The companys fixed expenses are $111,600 per year. The company plans to sell 11,000 bookbags this year.

Required:
1.	What are the variable expenses per unit? (Round your answer to 2 decimal places. Omit the "$" sign in your response.)

Variable expenses

$

2.	Use the equation method:

a.	What is the break-even point in units and in sales dollars? (Do not round intermediate calculations. Round your answers to the nearest whole number. Omit the "$" sign in your response.)

Break-even point in units
Break-even point in sales dollars	$

b.	What sales level in units and in sales dollars is required to earn an annual profit of $55,800? (Do not round intermediate calculations. Round your answers to the nearest whole number. Omit the "$" sign in your response.)

Sales level in units
Sales level in dollars	$

c.

Assume that through negotiation with the manufacturer the Super Sales Company is able to reduce its variable expenses by $4.70 per unit. What is the companys new break-even point in units and in sales dollars? (Do not round intermediate calculations. Round your final answers to the nearest whole number. Omit the "$" sign in your response.)

New break-even point in units
New break-even point in sales dollars	$